Floreat has bought Spencer House, 23 Sheen Road in Richmond, for £18.75m.
The deal reflects a net initial yield of 6.13% and a capital value of £684 per sq ft.
The news comes as the firm reaffirms its commitment to the UK.
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Floreat has bought Spencer House, 23 Sheen Road in Richmond, for £18.75m.
The deal reflects a net initial yield of 6.13% and a capital value of £684 per sq ft.
The news comes as the firm reaffirms its commitment to the UK.
Jonathan James, head of real estate at Floreat, said: “We continue to see value in the UK and expect to deploy further capital in 2020.”
The firm added in a statement: “Floreat is committed to investing in Greater London and the UK’s major regional centres, following continued strong performance despite wider political and economic uncertainty.”
The 27,410 sq ft Richmond office building occupies a site of 0.53 acres in the town centre, and is fully let to six tenants with a weighted average lease term of 6.5 years to lease expiry, at an average passing rent of £44.75 per sq ft.
The asset is the fifth UK regional value-add purchase for Floreat’s real estate team, which acquires and manages investments throughout the UK and Europe.
In December 2019, the firm completed the £6.9m purchase of a Grade II listed refurbishment opportunity at 79-83 Colmore Row in Birmingham.
Floreat was represented by Gain.
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